Post #15983

Gold Slides Toward $4,850 as Hot PPI Lifts Yields and the Dollar Gold is sliding again, trading down toward the $4,850 area and sitting near its lowest level in about a month. The price action is heavy, and rebounds are struggling to gain traction. Gold is getting capped by the same macro chain reaction: hotter inflation → higher yields → stronger dollar. February PPI came in hot (+0.7%), pushing US10Y yields toward ~4.2% and lifting DXY near ~99.9 ahead of the Fed decision. That raises the opportunity cost of holding a non-yielding asset, which is why gold is struggling even with geopolitical risk still elevated. Safe-haven demand is still present in the background due to Middle East escalation and continued threats to Gulf energy infrastructure, but right now the market is prioritizing USD liquidity and higher yields over gold. If inflation stays elevated and yields keep rising, gold could easily see more downside from here. - Alan